Daytrading August 28 pre-market, page-15

In times like these an adjustment of strategies is critical. We have had it very good in the last 6 months with all of these tech vend ins which may give some newbies a false sense of being a successful trader.

My tips in these markets are:
- Don't trade for the sake of trading, especially if you are sitting at the screen and are bored
- Trade momentum stocks intraday only, a hit on the Dow overnight will kill any gains you had. Minimise holding momentum trades overnight.
- Protect capital

Strategies I've been employing-
- Trading on positive news & then GETTING OUT - good examples have been PTX, HNR (overall small capital at risk but good return), scalp on AFJ takeover news, MPO- crossing at 26.5, way above market price). In this market the buying doesn't last long
- Scalping has been good too for 1-3 days hold on stocks that you know will hold up, eg capital returns or takeovers. You just have to have a dossier of what stocks and what prices. I'm giving away a few secrets but I've been successful on AGS, possible cap return at 12, ridiculously sold down to 12.5 recently. UNV takeover at 16, also got oversold. EVN bought a stake in PXG at 12, clearly in response to a 10c offer, later launches it's own bid.

Anyway just some things to think about